Yesterday was the worst day on the financial markets for about 5 weeks, coupled with an incredibly good day (for no apparent reason) the day before. March was a very boring month in terms of market movements and April has certainly gotten off to an interesting start.
When you look at some of the recent moves in the context of
- North Korea being the angry kid on the aeroplane who's mother wont give him any sweets so he threatens to be sick on purpose;
- Europe seemingly blowing up again in the form of reverse bank robbery
- some extremely poor economic data from around the world and
- a very high negative-to-positive guidance ratio from companies before earnings season
it does beg a few questions as to whether this rally and recent highs are sustainable and also as to whether we could be in for a turbulent couple of weeks. Personally I love volatility, far more interesting than the slow and relentless grind upwards.
What are your thoughts?